Motorists cashing in by using app to sell on parking spaces

With parking spaces at a premium in many US cities, new app enables drivers to
get cash by simply moving their car

The value of a parking spot has become such a valuable commodity in American cities that a number of mobile phone apps have been launched allowing motorists to auction off spaces for as much as $20 (£11,83).

Critics have called the applications such as Haystack and MonkeyParking predatory, but the companies behind the initiative say they are merely providing a service to motorists.

The idea is simple. Drivers use the app to register their credit card details, enabling other motorists to be paid when they leave the parking spot – which can even be a metered space.

The seller sets up an account and can either use the credit to pay for parking elsewhere or simply take the cash.

Dennis Herrera, San Francisco’s attorney has sent a cease and desist letter to MonkeyParking.

He said the app created a “a predatory private market for public parking spaces”. But that has not stopped the march of similar apps elsewhere.

Haystack has already started operating in Baltimore and Boston.

Baltimore welcomed the initiative, but not Boston’s mayor, Martin Walsh. “We remain concerned that their app, and apps like it, artificially inflate the cost of parking, and allow individuals to profit from public space,” he said.

Boston is particularly incensed by Haystack’s “make me move” feature, which invites drivers to bid up to $15 (£8.88) to persuade other motorists to shift their car.

But Eric Meyer, the chief executive of Haystack, made no apology for the idea.

“It is merely drivers saying they are willing to inconvenience themselves and move their car to help somebody else out.

“We are looking at other cities. We have had people ring us and ask for help, saying parking is a nightmare.”